Fiat was not only a survival matter for Chrysler but also became a part of taking care of the company’s sake bankruptcy. Fiat will share its technology with Chrysler to build small cars ‚ and will let Chrysler to gain a new distribution network in the European markets. In other hand‚ some weaknesses will knock the strategic alliance with the two companies‚ technology sharing and mismatch of brand portfolios. This is a major problem and can cause issues related to the goals of both companies. Knowledge
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EUROPEAN STUDIES FIAT: A TROUBLED EUROPEAN CAR GIANT GROUP 3: 1 Q1: What are the underlying problems facing Fiat’s car division? The performance of Fiat – the Italian vehicle manufacturer – has fluctuated drastically between its founding in 1899 and
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Chrysler Fiat Strategic Alliance The Chrysler Company was founded by Walter Chrysler on June 6‚ 1925‚ when the Maxwell Motor Company (est. 1904) was re-organized into the Chrysler Corporation. Later Fiat S.P.A was merged into the company following a board approval and become Fiat Chrysler Automobiles NV (FCA). FCA became the owner of the Fiat Group‚ the holding company that consists most of the company’s brands‚ like Ferrari‚ Maserati‚ Fiat Group Automobiles‚ and Chrysler Group Automobiles. Fiat rose
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The 2009 Chrysler-Fiat Strategic Alliance Christopher McCarthy 3/11/13 Table of Contents Introduction.............................................................................................................................3 Summary of the Strategic Alliance................................................................................ .........4 Positives/Negatives........................................................
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Environment 10-15 Benchmarking 10-13 Brand Portfolios 14-15 Conclusion…………………………………………………………………………………...16-17 Outline I. Introduction II. The Micro environment 1. The Companies a. Historical Background b. Strategic alliances 2. Internal assessment (strengths and weaknesses) III. The Macro environment 1. Benchmarking 2. Brand portfolios IV. Conclusion Introduction Nowadays‚ globalization is of high importance as it is currently influencing the
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The 2009 Chrysler-Fiat Strategic Alliance A strategic alliance links two or more companies operations by combining manufacturing resources and knowledge. These tie-ups combine R&D‚ product development‚ distribution networks‚ and other areas in knowledge allocation. With that said‚ Chrysler was ordered by the U.S. government to form an alliance and file for Chapter 11 bankruptcy in-order to acquire government bailout. So‚ in early 2009‚ Fiat turned out to be the key contender for Chrysler
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Case Study: Fiat Auto and General Motors Alliance Case Study: Fiat Auto and General Motors Introduction The economic crisis and other factors‚ affect different companies in the global market and automotive industries are not exempted. In order to cope with economic problems within the industry‚ different companies try to find the most efficient ways to save the company and one of these is through the consideration of merging or going into alliance. In alliance‚ both companies
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Fiat in Europe Fiat‚ an Italian car manufacture‚ headquartered in Turin and operated by the Agnelli family‚ has been a major force in Italian economic life since the beginning of the 20th century. FIAT is mainly involved in the production of Fiat cars and has a number of plants in Italy and abroad. It also owns Alfa-Romeo‚ Lancia‚ and Ferrari. FIAT’s combined operations produce 3 million cars per year in Italy. FIAT’s large share of the Italian market allows it to compete in the European market
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Government support towards the industry favourably. This industry is the 6th largest industry in the world and brings out a lot of revenue and creates employment opportunities. Therefore governments tend to help and protect the industry. Eg: USA bailed out GM and Chrysler * Taxes and levies charged against the automobile industry has a negative impact on the sales Many countries tend to have taxes or duties against the automobile industry; this may either be to protect their own local manufacturers
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Case: Fiat’s Strategic Alliance with Tata. IB-Sec A &C. Please use the following questions as guideline to prepare the case: (Follow instructions in outline except those mentioned below.. 1. Given that‚ Fiat existed and operated in India for long why did it decide to form a strategic alliance with Tata? * Frequent bottlenecks with earlier smaller JV partner(premier) * felt the need for bigger player- with financial and management compatibility * Long term approach
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